NTPC (NTPC IN): Buy: Upcoming catch-up on lagging performance

研报英文原文证据摘录

NTPC (NTPC IN): Buy: Upcoming catch-up on lagging performance

28 July 2026

NTPC (NTPC IN) EquitiesElectric Utilities

Buy: Upcoming catch-up on lagging performance India

◆ Adj. consolidated PAT +16% y-o-y on stronger subsidiaries/JVs; MAINTAIN BUY

standalone profit up on higher dividends and lower impairment

◆ We expect stock performance to catch up as future investment TARGET PRICE (INR) PREVIOUS TARGET (INR)

approvals seem likely and the Chairman’s term is extended 425.00 410.00

◆ Maintain Buy; raise target price to INR425 (from INR410) on SHARE PRICE (INR) UPSIDE/DOWNSIDE

a roll-forward and updated cost of equity assumptions 350.80 +21.2%

(as of 27 Jul 2026)

1QFY27 review: Adjusted consolidated profit of INR67.6bn was up 16% y-o-y on

MARKET DATAaccount of strong performance of subsidiaries and joint ventures, primarily THDC, Market cap (INRm) 3,401,592 Free float 30%

NEEPCO, PVUNL and NTPC Mining. Adjusted standalone also grew 16% y-o-y Market cap (USDm) 35,465 BBG NTPC IN

despite a 2% y-o-y growth in effective regulated equity base. The increase was driven 3m ADTV (USDm) 48 RIC NTPC.BO

by smaller impairment in the current quarter and higher dividend income. Regulated FINANCIALS AND RATIOS (INR)

equity for the standalone entity fell 1.9% q-o-q as the last coal mine was moved from Year to 03/2026a 03/2027e 03/2028e 03/2029e

the standalone company into its 100% subsidiary - NTPC Mining Ltd. HSBC EPS 20.14 22.43 23.79 24.99 HSBC EPS (prev) 21.01 22.35 23.65 na

Change (%) -4.2 0.3 0.6 na

What we like. (1) NTPC reiterated its strategy of being present across multiple power Consensus EPS 23.80 25.54 27.70 30.22

generation businesses, including nuclear, renewable, battery and thermal. (2) The PE (x) 17.4 15.6 14.7 14.0

Dividend yield (%) 3.1 2.9 3.1 3.2